Dáil Éireann Debate, Wednesday - 10 July 2024
248. Deputy Brendan Smith asked the Minister for Children, Equality, Disability, Integration and Youth the measures he is taking to address the urgent demand for childcare through both the private providers and community providers; if these providers can expect adequate budget allocations later this year to sustain their services; and if he will make a statement on the matter. [30094/24]
View answerImproving access to quality and affordable early learning and childcare is a key priority of Government. My Department has in place a range of supports and funding schemes to support the delivery of early learning and childcare places and services are independently operated by community not-for-profit and private for-profit providers.
The level of capacity in the sector has risen substantially year-on-year between 2022 and 2023 as evidenced by survey data collected by Pobal, by administrative data from Core Funding and the National Childcare Scheme and registration data collected by Tusla.
However, there is also evidence that demand for places is increasing and, for certain cohorts and in certain areas, outstripping supply. This is partly driven by the significant improvements in affordability that have been achieved in recent years and I acknowledge that some families experience challenges in accessing places, particularly for younger children.
The design of funding schemes and the increased allocation of resources to the sector is supporting ongoing expansion of capacity, and in particular for young children. The rates of both the National Childcare Scheme and Core Funding are weighted towards funding for young children given the higher staff costs that are required to operate at lower ratios.
Additionally, capital funding has been allocated to the early learning and childcare sector under the revised National Development Plan. This will enable significant investment in further expansion of capacity. The Building Blocks Grant schemes are focused on increasing the number of full and part-time places available for 1-3 year olds. Appraisal of applications for these scheme considers the supply and demand in the area around the proposed projects and seeks to prioritise funding for areas with the biggest supply/demand mismatch.
Last week, I was pleased to announce details of the Building Blocks Extension Grant scheme. Under this scheme, funding may be provided to the following range of projects:
• Extensions to existing premises
• Installation of modular buildings or buildings built using modern methods of construction
• Purchase of early learning and childcare premises (for community services only)
• Purchase of premises that could be easily adapted for use as early learning and childcare premises (for community services only)
• Construction of building to house a new early learning and childcare service on ‘greenfield’ or ‘brownfield’ site (for community services only)
The Building Blocks Extension Grant scheme will provide funding to support services to deliver thousands more of affordable early learning and childcare places. This is the most significant capital investment in the sector since the establishment of my Department in 2011.
Additionally, I have established a new unit in my Department to undertake more detailed analysis of the nature and quantum of supply and demand for early learning and childcare across the country. This work will help to inform how best to support the delivery of provision in the years to come.
In September 2022, I launched Together for Better, the new funding model for early learning and childcare. Together for Better brings together Core Funding, the Early Care and Childhood Education (ECCE) programme, the Access and Inclusion Model (AIM), the National Childcare Scheme (NCS), and the newly announced Equal Start programme.
Core Funding is a grant to early learning and childcare providers towards their operating costs. It aims to improve:
• Affordability
• Quality
• Inclusion
• Sustainability
€331 million is allocated for Year 3, an increase of €44 million (15%) on Core Funding Year 2.
• €249 million will be available for the Base Rate
• €55.8 million will be available for the Graduate Premiums
• €9 million will be available for targeted measures
• €17.5 million will be available for growth in the sector
